Editor’s Note: The Fourth Seminar of the International Commercial Expert Committee of the Supreme People’s Court and Reappointment (New appointment) Ceremony of Expert Members was held successfully on September 25, 2024. Over 40 experts from more than 20 countries and regions focused on the theme of the “Collaborative Dialogue, Diverse Integration, Peaceful Development” during the seminar. Extensive and in-depth discussions were held within the framework of four specific issues. The texts of speeches delivered by the members of expert committee and distinguished guests during the discussion session on Topic Four Innovation in digital era: AI’s application in dispute resolution and its outlook would be posted on the CICC’s website.

International Arbitration and Technology Innovation in China: 

from the perspectives of the SCIA Smart Arbitration System

LIU Xiaochun

President of the Shenzhen Court of International Arbitration

Ladies and gentlemen,

Good afternoon!

I am very pleased to share with you the development of China’s international arbitration, based on the technology innovation of the Shenzhen Court of International Arbitration.

Today, I would like to share with you the “Eight Steps” for the development of SCIA smart arbitration system over more than two decades.

The first step started in 2001, the SCIA initiated the online arbitration system. The second step was in 2008, the SCIA established the online trade dispute mediation platform at Canton Fair. The third step was in 2014, we explored the online dispute resolution mechanisms in the capital market. The fourth step was in 2016, the SCIA launched the “Cloud Arbitration” system. Also in 2016, we developed an arbitration platform based on mobile internet. The sixth step was in 2017, SCIA developed the first Arbitration Intelligence Robot. The seventh step was in 2020, the SCIA began to use full online procedurearbitration at the first year of COVID-19 pandemic. The eighth step was in 2022, we basically completed the SCIA Smart Arbitration System.

Talking about the SCIA Smart Arbitration System, there are “Eight Stages” in the full online procedure. 

The first stage is Online Case Filing. As of 2024, over 10,000 SCIA cases have been filed online, year-on-year increase of 24%. The second stage is Electronic Submission and Delivery of Documents. As of 2024, thanks to the online mutual service for parties, the SCIA has been made over 60,000 electronic deliveries, with a year-on-year increase of 65%. The third step is Online Tribunal Formation. The fourth staged is Virtual Hearings. As of 2024, we have over 2,000 cases used virtual hearings, with a year-on-year increase of 42%. The fifth stage is Virtual Deliberation. The sixth stage is Automated Generation of Award Templates. The SCIA online arbitration system automatically generates draft awards templates by extracting case details such as parties’ identity, procedural information, and detail of arbitration fees. The seventh stage is Online Award Delivery. The eighth stage is E-Docking Enforcement. Online Docking Enforcement of Arbitral Award which rendered by SCIA has been connected with all four levels of courts, including the Supreme People’s Court’s “one-stop” international commercial dispute resolution platform and the Guangdong High Court’s Arb-docking System, as well as with intermediate courts and primary courts in Guangdong Province.

Now, let’s take a look at the following video of the SCIA Smart Arbitration System.

[Play the video]

Of course, what we’ve seen is just a partial demonstration of the basic functions of SCIA Smart Arbitration System’s. Overall, this system is a multi-system integration, including application systems and supporting systems.

In terms of application systems, the SCIA “Cloud Arbitration” system is designed for PC screen, and the We-Arbitration Platform is for mobile devices. Additionally, there are systems for virtual hearings and remote deliberations, among others related to hearing proceedings.

To support the operation of these application systems, we have developed or integrated several supporting systems. These include e-submission and delivery of documents, e-signatures, e-evidence preservation, paperless case management, and automated generation of award templates. These support various aspects of the application systems.

Looking into the future, I believe that there will be two trends in  the technology innovation of international arbitration.

One trend is that, on a technology level, smart arbitration systems based on the latest technologies and multi-system integration will become increasingly refined. Artificial intelligence will play a growing role in assisting with case processing, drafting awards, and scrutinizing awards. Shenzhen, as the China’s first Special Economic Zone (SEZ) and  also a leading city in technology innovation, it will continuously provide technical support for the technology innovation of international arbitration in China.

The second trend is that, from a legal perspective, the impact and changes brought by technology innovations in international arbitration will increasingly gain understanding and will be more and more acceptable within the international legal community. I am going to make two examples. The first example is the Ordinance on Shenzhen Court of International Arbitration (the Ordinance). As the first statutory-body legislation for a specific arbitration institution in the world, the Ordinance explicitly requires the SCIA to “pursue smart arbitration by fully utilizing the internet, big data, artificial intelligence, and other information technologies to provide efficient and convenient dispute resolution services to the parties”, leading the way in regulating and promoting the technology innovation of international arbitration in China. The second example is that the Singapore High Court recently recognized the effectiveness of cross-border e-delivery in a SCIA arbitration case, which is considered a milestone in the technology innovation of international arbitration.

Based on these above mentioned two trends, we believe that while new challenges may continually arise in both technology and legal aspects, but the digitalization and intelligence of international arbitration definitely have broad prospects. The innovative development of international commercial dispute resolution mechanisms may enter a new era.

That concludes my presentation. Thank you all for listening!